NO.085

2002-03 FINAL BUDGET OUTCOME

The Australian Government general government sector recorded an underlying

cash surplus of $7.5 billion in 2002-03. This result is $3.6 billion

higher than estimated at the time of the 2003-04 Budget.

Total cash receipts were around $2.2 billion (1.3 per cent)

higher than estimated at the 2003-04 Budget. This was predominantly due

to higher than expected receipts from companies, indicating stronger

company profits than expected at Budget. Total cash payments were around

$1.3 billion (0.8 per cent) lower than estimated at Budget.

This largely reflects parameter variations in respect of a range of family

and community services and education programmes, along with delays in

some contracted health expenditure.

An accrual fiscal surplus of $6.0 billion was recorded for 2002-03. This

is $4.5 billion higher than estimated at the time of the 2003-04 Budget.

The strong budget outcome for 2002-03 reflects the Government’s ongoing

commitment to sound fiscal management.

General government net debt fell by $8.4 billion in 2002-03 to $29.7

billion (3.9 per cent of GDP), the lowest level as a percentage

of GDP in 20 years. In total, net debt has been reduced by $66.6 billion

over the last six years of the Coalition Government.

An electronic version of the 2002-03 Final Budget Outcome document can

be found at:

http://www.budget.gov.au/

CANBERRA

30 September 2003

Contact: Niki Savva: 02 6277 7340